The Enforcement Directorate (ED) on Thursday said it has attached crypto currencies, gold coins and vehicles worth Rs 34.75 crore in connection with its investigation into illegal forex trading platform OctaFx, and its related entities.
The attachment is in the form of bank balances, crypto currencies, vehicles, gold coins, and cash.
The ED had launched an investigation on the basis of the FIR registered under various sections of the IPC and the MPID Act by the Pune police. The RBI has also issued an alert list of unauthorised entities where the name of OctaFx (www.octaindia.net, hi.octafx.com & www.octafx.com) is reflecting.
The ED investigation has revealed that the online trading app and website are operating in India in association with India based entity OctaFx India Pvt. Ltd.
“This forex trading platform is widely promoted on social networking sites and is also following referral-based incentive models for acquiring users to its platforms. It has emerged in the investigation that multiple accounts of different Indian banks were being shown to investors on OctaFx trading app/www.octafx.com for collecting funds in the guise of facilitating forex trading,” said the ED.
The official said that the funds, after defrauding these investors, were transferred to multiple e-wallet accounts or to bank accounts of dummy entities for the purpose of layering.
Further, it was also revealed that a major portion of the defrauded amount on this trading app was used by the agents of OctaFx for amassing personal wealth.
“OctaFx by using its trading platform is manipulating the trade activities which is resulting in ultimately net loss to the traders. These manipulating tactics involve frequent fluctuation in slippage, extending huge leverages and huge fraudulent advertisements in India through internet to attract gullible investors,” said the official.
OctaFx has also hired several Indian individuals working in Spain and Russia for operating the OctaFX trading platform and inducing Indian citizens to invest in forex trading through OctaFX.
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First Published: Apr 20 2023 | 9:06 PM IST